December 6, 2018, Introduced by Rep. Kelly and referred to the Committee on Appropriations.
A bill to amend 1979 PA 94, entitled
"The state school aid act of 1979,"
by amending sections 297c and 297k (MCL 388.1897c and 388.1897k),
as added by 2018 PA 227.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 297c. (1) From the appropriation in section 297, there is
allocated for 2017-2018 an amount not to exceed $25,500,000.00 for
the Michigan talent pledge scholarship program administered by the
department of treasury.
(2) From the allocation in subsection (1), there is allocated
for 2017-2018 an amount not to exceed $20,000,000.00 to be used for
the purpose of assisting low-income individuals with the cost of
obtaining a qualifying degree or credential in high-demand fields.
The funds must be used to fund scholarships and stipends for 3
cohorts of eligible individuals over 4 years. Awards shall be in
the following amounts:
(a) $750.00 scholarship award for individuals enrolled in an
eligible program that leads to a 1-year credential, in addition to
a $250.00 stipend paid to the individual.
(b) $500.00 scholarship award each year for 2 years for
individuals enrolled in an eligible program that leads to a 2-year
credential, in addition to a $250.00 stipend each year paid to the
individual.
(3) To be eligible for a scholarship grant under this section,
an individual shall meet all of the following:
(a) Except for an individual under the age of 18, possess a
high school diploma, recognized equivalency, or recognized
equivalency certificate.
(b) Be a resident of this state and a citizen of the United
States of America.
(c) File the free application for federal student aid (FAFSA),
annually.
(d)
Meet the same income qualification requirements as the
Healthy
Michigan plan under section 107 of the social welfare act,
1939
PA 280, MCL 400.107, at the time of application.Have an annual
income at the time of application that is at or below 133% of the
federal poverty guidelines published annually by the United States
Department of Health and Human Services.
(e) Be enrolled full-time in a qualifying program at an
eligible postsecondary institution.
(f) Apply for a grant in a form and manner prescribed by the
department of treasury.
(g) Maintain a cumulative grade point average of at least 2.5,
if the institution utilizes a standard grading model, or, if the
institution utilizes a competency-based grading model during his or
her time enrolled in an eligible postsecondary institution, make
sufficient progress through the curriculum to complete the program.
(h) Is between the ages of 16 and 45 at the time of
application.
(4) A postsecondary institution is eligible under this section
if the postsecondary institution is a public or private nonprofit
college or university, junior college, community college, or
private training provider that grants degrees or certificates and
is located in this state and provides proof, in a form and manner
prescribed by the department of treasury, in cooperation with the
department of talent and economic development, that it has
implemented a talent guarantee for the relevant qualifying program
under subsection (5). For the purposes of this subsection, "talent
guarantee" means a process by which the institution will provide
relevant training in the relevant field at no cost to a graduate
who successfully completes a qualifying program under subsection
(5), if the graduate is unable to find or keep a job in the
relevant field at a relevant level due to a lack of technical
skills. Institutions are encouraged to work with their local
Michigan works agencies to implement this guarantee.
(5) A program must meet all of the following to be a
qualifying program under this section:
(a) Completion of the program must result in a credential in a
qualifying high-demand field.
(b) The program is intended to be completed in no more than 1
year for an award under subsection (2)(a), or no more than 2 years
for an award under subsection (2)(b).
(c) The program utilizes a competency-based instructional
model.
(6) The department of treasury shall develop an application
and eligibility determination process that will provide the highest
level of participation and ensure that all requirements of the
program are met.
(7) The department of treasury shall provide payment on behalf
of an individual eligible under subsection (3) for the scholarship
award amounts described in subsection (2)(a) and (b). The
department of treasury shall reimburse the eligible postsecondary
institution. no
later than 30 days after the start of the fiscal
year.
Subject to subsection (8), the department of treasury shall
only
accept standard per-credit hour tuition billings and shall
reject
billings that are excessive or outside of the guidelines for
the
type of educational institution. For
the stipend amounts under
subsection (2)(a) and (b), the department of treasury shall
collaborate with eligible postsecondary institutions to ensure that
a prorated amount of the stipend is forwarded to the student
following each regular meeting with a coach, mentor, or counselor
as an incentive for the student to meet with the coach, mentor, or
counselor.
(8)
For the department of treasury to pay a scholarship award
on
behalf of an individual eligible under subsection (3), at least
1
of the following must apply:
(a)
For individuals enrolled at a community college in this
state,
the individual is charged the current in-district tuition
and
mandatory fees.
(b)
For individuals enrolled at a public university in this
state,
the individual is charged the lower division resident
tuition
and mandatory fees for the current year.
(c)
For individuals enrolled at an independent, nonprofit
degree-granting
college or university in this state or a federal
tribally
controlled community college in this state, the mandatory
fees
and per-credit payment charged to the individual do not exceed
the
average community college in-district per-credit tuition rate
as
reported on August 1 of the immediately preceding academic year.
(8) (9)
The department of treasury shall
collaborate with the
center to use the P-20 longitudinal data system to report the
number of students who are engaged in and have completed a program
using an award granted under this section.
(9) (10)
From the funds allocated under
subsection (1), there
is allocated for 2017-2018 an amount not to exceed $2,440,000.00
for grants to community colleges, universities, or private
nonprofit colleges for the purpose of providing coaches to students
who receive scholarship awards under this section. The coaches
funded under this subsection shall provide intense mentoring and
advising to recipients of scholarships under this section, focusing
on ensuring that students complete programs for which they receive
scholarships under this section. Grants awarded under this
subsection must be made to eligible postsecondary institutions in
the amount not to exceed $40,000.00 per coach.
(10) (11)
From the funds allocated under
subsection (1), there
is an amount allocated for 2017-2018 not to exceed $2,300,000.00 to
be used for grants to districts for stipends for students and bonus
payments to districts that are parties to a talent consortium and
whose students successfully earn an in-demand workforce certificate
in a high-demand field. For the purposes of funding under this
subsection, a workforce certificate must, as determined by the
department of talent and economic development, be entry-level or
above, recognized by statewide industry, and in a high-demand,
high-salary, high-upward mobility career. Grants awarded under this
subsection must be in the amount of $500.00 per student who
successfully completes an in-demand credential in a high-demand
field in calendar year 2019 or 2020. A grant awarded under this
subsection shall be distributed in an amount of $250.00 to the
student and in an amount of $250.00 to the district. A district
seeking a grant under this subsection shall apply in a form and
manner
prescribed by the department. of treasury. An application
for a grant under this subsection must describe the credentials
that students will earn using funds awarded under this subsection.
The
department of treasury shall work with the department of talent
and economic development to award grants under this subsection and
notify applicants of the decision to award a grant not later than
30 days after receiving an application.
(11) (12)
The following do not qualify as
in-demand
credentials in a high-demand field for the purposes of subsection
(11):(10):
(a) A high school diploma or equivalent.
(b) An advanced placement test other than physics c:
electricity and magnetism, physics c: mechanics, computer science
a, or computer science principles.
(12) (13)
From the funds allocated in
subsection (1), there is
an amount allocated not to exceed $760,000.00 to the department of
treasury for costs related to the administration of this section.
Sec. 297k. (1) The department shall ensure that grant funds
awarded under sections 297a, 297b, and 297d are awarded as follows:
(a)
50% At least 45% to tier 1 districts.
(b)
30% At least 25% to tier 2 districts.
(c)
20% At least 15% to tier 3 districts.
(2) If a district from 1 tier applies for a grant with 1 or
more other districts in a combined application, or if an
intermediate district submits a grant application on behalf of more
than 1 of its constituent districts, and the combined application
results in a district from 1 tier receiving a grant award that is
higher than if a combined application had not been submitted, the
portion of the grant award that exceeds what the district would
have received in the absence of a combined application must be
applied to the tier percentages under subsection (1) in the same
proportion that the pupil membership of that district represents of
the total pupil memberships in the combined grant application.
Enacting section 1. This amendatory act takes effect 90 days
after the date it is enacted into law.